What words / terms come to mind when you think of the word 'economy'?
The economy is made up of individual decision makers who:
Buy and sell goods.
Lend money.
Borrow.
Get involved with economic policy through government and change taxes and interest rates.
Economic changes can have a positive or negative impact on business.
In your assignment you will be discussing:
Click on the picture:
Do you know where this is?
In class we will be discussing:
Do you know where this is?
Economic influences on Domino's Pizza:
National income can be measured through Gross Domestic Product or GDP.
Countries with a higher GDP will have a population that spend more than those where GDP is lower.
What is GDP? Video here.
GDP is usually measured every quarter (3 months). If GDP increases this is generally good for business.
Why?
What does the graph below show?
Each bar represents 3 months.
Above 0% represents economic growth.
Below the line indicates that the national income of the UK is falling.
If there are two quarters of negative economic growth this is called an:
What do you think happened at Domino's during the 2008 - 2009 recession?
With economic growth most businesses will expect increased sales.
However.....other factors such as competition may impact on business performance.
You need to investigate how changes in GDP have impacted on Costa Coffee.
You could choose two different time periods in the UK (the 2008 - 2009 recession and the present day) or....
The performance of Costa Coffee in the UK compared to the performance of Costa Coffee in another country.
